SINGAPORE: Malaysian palm oil futures rose over 1.5 per cent on Wednesday after the government said it will import more products from top palm buyer India in a bid to mend relations following a row over Kashmir.

The benchmark palm oil contract for January delivery on the Bursa Malaysia Derivatives Exchange closed 1.8pc higher at 2,253 ringgit ($537.26) a tonne.

The vegetable oil contract took a hit this week after Indian refiners halted purchases of Malaysian palm oil for shipment in November and December, fearing New Delhi could raise import taxes or enforce other measures to curtail imports.

The move followed a Reuters report that India was considering restricting imports of some products from Malaysia, including palm oil, after the Southeast Asian country’s leader criticised New Delhi for its actions in Kashmir.

Published in Dawn, October 17th, 2019